Energy and Refrigeration Use in Food SMEs: How to Capture Your Data

Energy powers every stage of food production — from field to fridge. Whether you’re running a dairy, bakery, processor, or cold-storage facility, tracking energy use is essential under the Corporate Sustainability Reporting Directive (CSRD) and the Voluntary Sustainability Reporting Standard for SMEs (VSME).

This guide explains how small and medium-sized food businesses can capture, calculate and report their energy and refrigeration data easily, using simple tools and bills they already have. For a general introduction to energy reporting, see how to report electricity use and the step-by-step guide to Scope 1 and 2 emissions.

1. Why Energy Reporting Matters

Under the CSRD (Directive 2022/2464/EU) and the VSME Basic Module, food producers are encouraged to report on:

• Total energy use (electricity, fuel, heat, etc.)
• Greenhouse gas (GHG) emissions from energy
• Energy efficiency improvements or renewable energy share

For many food SMEs, refrigeration is one of the largest energy uses — often accounting for 30–60% of total electricity consumption. Accurately tracking it helps you:

• Lower operating costs
• Demonstrate sustainability progress to customers
• Meet supplier or lender reporting requests

2. What the CSRD and VSME Standards Require

Under the CSRD

Large food manufacturers must report their Scope 1 and Scope 2 GHG emissions in line with ESRS E1 (Climate Change), including energy used in operations and refrigeration.

Under the VSME Basic Module

Smaller undertakings are asked to disclose under B3 – Energy and Greenhouse Gas Emissions:

• Total energy consumption (in MWh)
• Breakdown of renewable and non-renewable sources
• Estimated GHG emissions from energy (in tonnes CO₂e)
• GHG intensity, e.g. per euro of turnover or per tonne of product

🟢 You don’t need complex software — a simple spreadsheet and your bills will do.

3. Step-by-Step: Capturing Your Energy Data

Step 1. Collect your energy bills

Gather electricity, gas, and fuel invoices for the reporting year.

Record:

Convert everything to MWh for consistency:

1 MWh = 1,000 kWh 1 litre of diesel ≈ 0.010 MWh

Step 2. Identify refrigeration-related energy

If possible, estimate what proportion of electricity goes to cold storage, chillers, or refrigerated transport.

Simple methods:

• Separate meter: record readings for chillers/freezers.
• Equipment ratings: use power ratings (kW) × average daily hours × days per year.
• Estimate: if no metering, assume 30–60% of electricity use** for refrigeration**, depending on product type.

Example:

Total electricity: 120,000 kWh/year Estimated refrigeration share: 40% → 48,000 kWh/year

Step 3. Calculate your GHG emissions

Use standard emission factors (from national inventories or the GHG Protocol):

Total = 36.3 tonnes CO₂e (Scope 1 + 2)

If you use solar panels or purchase renewable energy, show this share separately under “renewable”.

Step 4. Record energy efficiency and improvements

Under B2 – Practices, policies and future initiatives, describe any progress:

• Switching to LED lighting or high-efficiency motors
• Regular refrigeration maintenance to prevent leaks
• Use of variable-speed drives or insulation
• Energy audits or cooperative energy programmes

Example:

“Installed variable-speed compressors in 2024. Estimated 10% reduction in refrigeration energy consumption.”

4. Reporting Format for Food SMEs

When you prepare your sustainability section (or VSME report), you can summarise energy and refrigeration data in a simple table:

This is fully aligned with VSME Basic Module B3 and meets CSRD-compatible data needs.

5. Going Further: Refrigerant Leakage and Scope 1 Emissions

If your business owns or operates refrigeration systems, refrigerant leakage may count as Scope 1 emissions (direct GHG).

To capture this:

• Check F-gas maintenance records.
• Record the type and quantity of refrigerant added or replaced during servicing.
• Multiply by the refrigerant’s Global Warming Potential (GWP) to calculate CO₂e impact.

Example:

3 kg of R-404A × GWP 3,922 = 11.8 tCO₂e

Reporting this under B3 or B4 (Pollution) demonstrates transparency and supports EU climate goals.

6. Using Data for Better Decisions

Once your data is captured:

• Compare year-on-year trends.
• Identify areas for efficiency investment (e.g. insulation, cooling upgrades).
• Share highlights with customers or buyers — they value verified sustainability efforts.
• Use the same data for energy audits, grant applications, or carbon footprint tools.

7. Key Tips for Busy Food Producers

• 📅 Collect data quarterly — easier than an annual scramble.
• 🧾 Use existing invoices — no new systems needed.
• ⚡ Track renewables — solar or green tariffs count.
• ❄️ Include refrigeration separately — it’s often your biggest line item.
• 🪶 Keep it simple — focus on accuracy, not perfection.

Key Terms

• CSRD – Corporate Sustainability Reporting Directive (EU 2022/2464), requiring large companies to report sustainability information.
• VSME – Voluntary Sustainability Reporting Standard for SMEs, published by EFRAG (2024).
• Basic Module (B3) – Energy and GHG disclosure section of VSME, covering electricity, fuel, and Scope 1/2 emissions.
• Scope 1 emissions – Direct GHGs from fuel combustion and refrigerant leaks.
• Scope 2 emissions – Indirect GHGs from purchased electricity or heating.
• MWh (Megawatt-hour) – Standard unit for measuring energy use.
• GWP (Global Warming Potential) – Relative climate impact of a refrigerant compared to CO₂.